FOR SALE
23/07/22
341
Established online website with 650,000 visitors per month, operating from UK
Year on Year growth since 2018 with a turnover in excess of £2m in latest financial statements, with a net profit margin of 25% (£500,000) before tax.
Low overhead and combination of just in time / dropship stock, operating with 3-5 staff and owner / operator.
Global sales,70% to US with remainder to Australia, Canada, New Zealand and other.
Growth opportunities adopting model to other markets, are currently largely UK to US focused.
Operations
We run a hybrid dropship / just in time online business, identifying retail arbitrage opportunities for product that can be exported from UK to overseas market. 100% of sales are currently from our own website (available on request). We have our own unique database of products and inventory level management system, built over a period of three years, maintained by our own inhouse team.
Customers
Currently 70% of our sales come the US from our main website. Sales are predominantly in US.
56% of our traffic is from paid search,32% organic search traffic with the remainder from direct / other sources.
We also have some limited sales from a legacy website that will be part of sale.
Financials
Financial results (year end 30 September)
2019 - Turnover £502,000, net profit £54,000
2020 - Turnover £1.35m, net profit £207,000
2021 - Turnover £2.15m, net profit £445,000 (£520,000 EBIT)
2022 (8 months TYD to May) - Turnover £2.5m, EBIT £720,000
All profits are before tax, but after a notional director salary (approx. £25,000 per annum)
Additional Notes
Ideally the owner operator would retain a stake in business to ensure continuity and growth of business (% to be negotiated). Owner will commit to a minimum of 12 months, retaining all other key staff / contactors. Owner is a qualified chartered accountant seeking to raise capital for other investment / personal interests whilst maintain stake in company.
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